How meeting planners and other travel providers are serving champagne on beer budgets
Meeting planners buffeted by the recession are still expected to produce positive results. So are others in the sometimes mercurial travel business.
“Meeting-planning budgets have taken such a hit during the recession, they might as well be surrounded with crime-scene tape,” says Smart Meetings.
So what’s the answer?
One overall solution: getting more with less.
The overall market has seen improvement but “people still expect something special, but don’t want to pay more,” said Marjorie Risinger, owner of MYR Consultants.
The market is improving. There should be an eight percent uptick in meetings this year, says MPI’s Future Watch 2011 study. Perhaps by 2014, meeting numbers will get back to pre-2009 figures, says Carlson Wagonlit.
Smart Money uses the example of Rachael Alford, an urban meeting and training specialist, who found ways to save a half million dollars on a year-long series of programs. Her events still got high marks.
How did she do it?
“It was nothing magical. It just took proper advanced planning, negotiating and networking,” she said.
Often, such planning involves little more than what might be called “common sense.”
If your meetings have always been on land, think “Beyond the sea.” A Cruise Lines International Association” (CLIA) survey found perceived value and price were among major reasons more meeting planners are looking to cruises.
The all-inclusive nature of cruise ship meetings can save up to 40 percent when compared to a comparable “a la carte” land-based property, according to CLIA. Complimentary meals, evening entertainment, daily activities, flexible meeting space, multi-media production and AV all add up to savings.
Planners can customize their cruise program with private onboard events, group dining, team-building activities and exclusive shore excursions. Group amenity packages offer a choice of value-added amenities to further customize the experience.
For 100 percent exclusivity and greater customization opportunities, a full ship charter is the best deal of all.
Here are some suggestions for meeting planners that at times will also apply to members of the travel industry, including business stravelers, on how to star thinking about cost-cutting:
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Many second and third-tier cities during the recession have invested more but at the same time have retained often much lower prices than the largest cities. Experts suggest giving them a try.
- Mid-price-range hotels in smaller areas have also been proliferating. Renaissance Hotels, a lower-cost Marriott product, has been particularly aggressive there, opening 50 new hotels in the past four years.
- Planners might more often think of booking public facilities such as parks and zoos that often let them choose their own caterer.
- Uneaten food and drink can be returned and not charged. This works well with soda and packaged foods like potato chips, but can also be done with perishables.
- Liquor can be very expensive. So whether it's a cash or a hosted bar, don't pay more for drinks than the prices in a hotel bar.
- If the hotel will not provide a specific menu in advance, at least agree that the menu prices will not increase more than a fixed percentage per year.
- If available, a discontinued label often can be a bargain compared to what's on the current wine list.
- Also a suggestion particularly aimed at meeting planners: instead of professional speakers, hire local university professors or look for retirees who have expertise in one area of another. Both will work cheaper than professional speakers and the cost is far less.
- If you have to have professional speakers, keep in mind that those on tour to promote products or books are also often bargains because they need the exposure.
- Individual meals are fine but to save money, try a family style menu. It’s less costly and sharing dishes helps attendees get to know each other in an informal atmosphere.
- Most planners don’t have to be told this but here’s a reminder: work with the local CVB; they almost always have wide-ranging, cost-cutting suggestions, and remember they are always looking for ways to beat the stiff competition.
By David Wilkening
David
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